REPUBLIC OF LITHUANIA                                     
                               LAW                                              
                            ON PRICES                                           
                                                                                
                    (As amended by 5 October 1993)                              
                                                                                
     Article 1.  This law  shall define  the  system  of  pricing,              
including regulation and control, for the Republic of Lithuania.                
     Article 2.  Two pricing  mechanisms  shall  operate  in  the               
Republic of Lithuania:                                                          
     (1)  pricing, as regulated by state government institutions;               
and                                                                             
     (2)  market pricing.                                                       
                                                                                
     Article 3. The Government shall regulate prices by:                        
     (1)   setting the minimum and the maximum prices for certain               
goods and services;                                                             
     (2)   declaring specific  prices for goods and services on a               
special list prepared by the Government.                                        
                                                                                
     Article 4.  The Government shall fix prices for products and               
services provided under state contracts or procured through state               
purchases.                                                                      
                                                                                
     Article 5. The Government of the Republic of Lithuania shall               
set the  level of  excise duties  and establish the list of goods               
requiring such duties.                                                          
                                                                                
     Article 6. Local government bodies shall regulate prices for               
the products  of enterprises  at the  local  level,  as  well  as               
tariffs on  services pursuant to state regulation, as provided in               
Article 3 hereof.                                                               
                                                                                
     Article 7.  Market prices  and tariffs  shall be  applied  to              
products and  services that  are not  subject to  state regulation              
under Article 3 and Article 6 hereof.                                           
                                                                                
     Article 8.  If the  dynamics of  market prices  and  tariffs               
cause or  are likely to cause a disturbance in the functioning of               
economy, which, in its turn, affects the interests of the economy               
of the  Republic and its residents, the Government may suspend or               
restrict price and tariff increases for a period not exceeding                  
6 months.                                                                       
                                                                                
     Article 9. State pricing control shall include research into               
the reasons and factors of the pricing system that have an impact               
on price  levels and  changes, as  well as  on the enforcement of               
this Law  and other legislative acts regarding price formation in               
economic activities.                                                            
                                                                                
     Article 10.  Economic entities shall provide the information               
necessary to proper exercise of state control of pricing in cases               
specified by law.                                                               
                                                                                
     Prices and  tariffs shall  be made  available to  the public               
according to the procedure provided by law.                                     
                                                                                
     Article 11.  Administrative and  legal action  may be  taken               
against persons  who violate  this Law and other legislative acts               
regarding  price   formation  and  control  of  the  Republic  of               
Lithuania in  accordance with  the procedure  established by  law               
whereas economic  entities shall be subject to economic sanctions               
(Amended 5 October 1993).                                                       
                                                                                
     Fines imposed  upon economic  entities that  are under local               
jurisdiction  shall  be  paid  into  the  budgets  of  the  local               
governments.   In all  other cases,  fines shall be paid into the               
State Budget.                                                                   
                                                                                
     Article 12.  This Law  and other  legislative acts  on price               
formation  adopted   by  the   Republic  of  Lithuania  shall  be               
implemented by  the State  Price and  Competition Agency   and by               
local governments (Amended 5 October 1993).                                     
                                                                                
                                                                                
     Article 13.  State  government  bodies    when  establishing               
prices and  tariffs of  goods and  services must  coordinate them               
with the  State Price and Competition Agency under the Government               
of the  Republic of  lithuania, with  the exception of prices and               
tariffs that  are established  by city (region) boards (amended 5               
October 1993).                                                                  
                                                                                
                                                                                
Vytautas Landsbergis                                                            
President                                                                       
Supreme Council                                                                 
Republic of Lithuania                                                           
26 July 1990                                                                    
No. I-413